Auto fuel sales down last year, with PKN Orlen profit 5.2% less than 1999
According to experts from Nafta Polska, sales of auto fuel in Poland fell
last year by 8% when compared to 1999, while the diesel market recorded a
12% decrease. This was primarily due to weakening GNP growth and high oil
prices. The decrease has seriously affected the financial performance of oil
sectors companies. PKN Orlen recorded only zl.706 million net profit, 5.2%
less than in 1999. That announcement yesterday surprised investors, given
the companyâs good results in the third quarter of last year. According to
Marek Mroczkowski, deputy president of PKN Orlen, profits in the final
quarter were low because the company still had to pay its providers high
prices for oil a few weeks after prices decreased significantly at the end
of the year 2000. Orlen results were also affected by the fluctuating
exchange rate of the dollar, fuel tariffs cancelled sooner than planned, as
well as high interest rates. (Prawo i Gospodarka, p.2; Parkiet, p.3) M.K.
